20% VAT Calculator

Calculate the VAT at the UK standard rate of 20%. To change the VAT rate, please use our World VAT Calculator.

How To Use The Standard Rate VAT Calculator

To use the free UK VAT calculator, just type in your Net Amount and we will automatically calculate your VAT Amount and Gross Amount at the UK standard VAT rate of 20%

The VAT Amount line shows how much VAT has been calculated from the Net Amount. The Gross Amount is the Net Amount plus the VAT added to give you the gross total.

How To Calculate VAT at 20%

To manually calculate VAT is simple, multiply the cost by 1.2
Example to add 20% £100 x 1.2 = £120 – This gives you the Gross Amount including VAT.

How To Reverse VAT at 20%

Below is how to manually reverse VAT, alternatively our reverse VAT calculator works automatically.

£100.00 divided by 1.20 = £83.33
Subtract £83.33 from £100.00 (100 – 83.33) = £16.67 – this is the VAT Amount on an item sold for £100.00

What Is The UK Standard VAT Rate?

The UK Standard VAT rate is currently at 20%, it is also the default VAT rate. It applies to most services and goods including: most hot and cold foods and drinks, including takeaway and restaurants foods, energy for businesses and clothes and footwear for those aged over 14.

VAT on Food And Drink

When it comes to food and drink, these are usually zero rated but some items are standard rated. These include catering, alcoholic drinks, soft drinks, bottled water, sports drinks, confectionery, crisps, savoury snacks, hot food, hot takeaways and ice cream.

Restaurants must charge VAT on everything eaten within their premises or in communal areas designated for their customers to use, such as food courts. Restaurants and takeaways must charge VAT on all hot takeaways and home deliveries. Unless eaten in a designated area, cold takeaway food does not need to be charged VAT.

What is VAT?

VAT or value added tax VAT is a tax levied on most goods and services provided by VAT registered businesses. It was introduced to the UK in 1973 replacing the Purchase Tax. The current standard VAT rate is 20%, that is an increase from 17.5% on 4 January 2011.

Any UK business that provide taxable goods or services whose taxable turnover exceeds the threshold of £85,000 must register for VAT and once registered that business must charge VAT on the full sale price of the goods or services.